Newcastle sent '£100million per season' warning over new stadium plans

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Newcastle may find one key money-making aspect of the club’s new stadium unpopular with fans, Kieran Maguire has suggested.

The football finance expert has outlined how much the Magpies will need to generate in terms of funds for the move to be financially viable, and what that might mean in terms of its feature.

Those connected with the club will be hoping they moved into a new era on Sunday (16 March) when victory over Liverpool in the Carabao Cup final ended their long wait for domestic silverware.

Newcastle are planning for manager Eddie Howe to turn them into a club that can now regularly compete for major honours on a consistent basis for years to come.

Photo Credit: Imago

Newcastle United set for potential stadium switch

Those plans for a new era at the club go beyond success on the pitch, with the Magpies seemingly also looking at further ways to boost their profile and finances off it.

It has been revealed that Newcastle are planning to leave St James’ Park to move to a new 65,000-seater stadium at Leazes Park (Daily Mail).

Inevitably though, the process of building and moving to that new ground will prove costly, which will put a strain on the amount they are able to invest in their squad.

That may be a concern for Newcastle given their plans for a busy summer transfer window as they aim to improve their side and build on this recent success.

Newcastle United last five gamesResult
Nottingham Forest (H)Won 4-3
Liverpool (A)Lost 2-0
Brighton (H)Lost 2-1
West Ham (A)Won 1-0
Liverpool (N)Won 2-1
All competitions

Maguire has now outlined just how much the Magpies will therefore need to generate from this new stadium for it to prove profitable.

Speaking on the Price of Football podcast about those plans for the ground, the football finance expert said: “They can certainly fill that stadium given the massive enthusiasm there is for football in the north east as we’re aware. What they’ve got to be able to do – and this is the downside – is not that they’ve got to fill it, but that they’ve got to make it to make sure it generates revenue.

“Because now we’re moving into the region where you’ve got Manchester United, Spurs, Arsenal, Liverpool as well having a good season, all bringing in more than £100million per year from ticket sales. That’s got to be the ambition of Newcastle’s owners, if they want to compete on the pitch.

“So Newcastle’s fans want them to compete on the pitch, then it’s a case of getting that balance right between the passion of local fans and the corporate hospitality elements of a new stadium because without those it doesn’t become cost efficient.”

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Football Insider Verdict

It is hard to imagine that this latest hint about significant commercialisation of the new stadium through corporate boxes will go down well with the club’s supporters.

The passion and soul of the fanbase at Newcastle was clearly on show during that victory they enjoyed over Liverpool at Wembley over the weekend.

As a result, taking some of that away in order to make room for corporate boxes that will detach from that supporter experience for many of those attending the games, and dilute a big part of the argument for leaving St. James’ Park in the first place, to get more supporters in.

Indeed, the space taken up by the corporate boxes may deny some fans the chance to attend the games in standard seats as they otherwise might have done, which will not please many.

Even so, as has been seen with Man United questions will inevitably be asked about how the club balance investing in the squad and stadium, given that success is the main priority for any club.

With that in mind it may be no huge surprise if, given the corporate boxes will seemingly aid raise funds for the stadium, Newcastle do disappoint some of their supporters with this move.

The post Newcastle sent '£100million per season' warning over new stadium plans appeared first on Football Insider.

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